TORONTO, Dec. 19, 2019 /PRNewswire/ -- Americas Gold and
Silver Corporation (TSX: USA)
(NYSE American: USAS) ("Americas" or the "Company"), a growing
North American precious metals producer, provides a construction
update on the Relief Canyon gold project in Nevada.
The Relief Canyon project has advanced to its final stage of
construction with initial ore placement on the leach pads achieved
earlier today and first gold pour expected in the first half of
January 2020. The development
continues on budget at a rapid pace and the Company expects to
bring the mine into commercial production by late Q1/early Q2,
2020.
"Fiscal 2019 has been a pivotal year for the Company with the
successful acquisition and execution of the Relief Canyon project,
the ramp-up and optimization of the San
Rafael mine in Mexico, and
the announcement and commencement of the Galena Complex
re-capitalization plan with Mr. Eric
Sprott," said Americas Gold and Silver President and CEO,
Darren Blasutti. "I'm extremely
proud of our technical team, the Relief Canyon employees, and
contractors who were able to get ore placed on the newly
constructed leach pads, only seven months since the start of
construction. Construction commenced in mid-May after closing the
Pershing transaction and Sandstorm
financings in April, and our team has worked diligently since then
to achieve the Company's objectives. With the commencement of ore
stacking, the Company is anticipating first gold production in the
first half of January 2020 and
commercial production by late Q1/early Q2, 2020."
Construction Update
In early December, Americas began actively mining ore at Relief
Canyon. The mining contractor continues to deliver and
assemble mobile equipment to meet the planned ramp-up in the mining
rate, as required. Construction of the leach pads is effectively
complete, including placement of the overliner. Commissioning of
the 3,200-foot overland conveyor system and grasshopper conveyors
is complete. The Company has begun crushing and stacking ore on the
leach pads with over 70,000 tons of ore stockpiled and is waiting
on expected ordinary course permits before the start of
leaching.
The ADR processing plant at the Relief Canyon project has
received and installed over 90% of the equipment necessary to
refine and pour gold. Wet testing of the plant is in its final
stages and the Company plans to test the carbon stripping circuit,
including electrowinning, over the next two weeks.
The Company expects to see multi-year precious metals growth in
2020 and 2021 driven primarily from the Relief Canyon mine along
with progressively increasing silver production from the
San Rafael mine. With the closing
of the acquisition of Relief Canyon, Americas increased its
precious metal reserves by approximately 250% year-over-year and
over 90% on a per share basis. The ramp-up of gold production at
the Relief Canyon project is expected to advance the Company
towards its anticipated 500% increase in precious metals production
by 2021. The Company expects to release two-year forward production
and cost guidance in early February
2020.
Exploration Plans
Americas has budgeted approximately $1.9
million for exploration at Relief Canyon in 2020.
Exploration drilling will commence in the south and southwest areas
of the pit with the goal of increasing resources by the end of
2020. The Relief Canyon deposit is geologically open on three sides
and the Company controls a land package of approximately 11,700
hectares (~30,000 acres) in-and-around the mine site, of which only
20% has been explored to date. Additional exploration plans
include field work on the larger land package to identify future
satellite drill targets.
About Americas Gold and Silver Corporation
Americas Gold and Silver is a high-growth, low-cost, precious
metals mining company with multiple assets in North America. It owns and operates the Cosalá
Operations in Sinaloa, Mexico and
manages the 60%-owned Galena Complex in Idaho, USA. The Company also holds an option
on the San Felipe development
project in Sonora, Mexico. For
further information, please see SEDAR or www.americas-gold.com
Cautionary Statement on Forward-Looking Information:
This news release contains "forward-looking information" within
the meaning of applicable securities laws. Forward-looking
information includes, but is not limited to, Americas expectations,
intentions, plans, assumptions and beliefs with respect to, among
other things, the Company's construction, production, development
plans and performance expectations at the Relief Canyon Mine,
including the anticipated timing of production. Often, but not
always, forward-looking information can be identified by
forward-looking words such as "anticipate", "believe", "expect",
"goal", "plan", "intend", "potential', "estimate", "may", "assume"
and "will" or similar words suggesting future outcomes, or other
expectations, beliefs, plans, objectives, assumptions, intentions,
or statements about future events or performance. Forward-looking
information is based on the opinions and estimates of Americas as
of the date such information is provided and is subject to known
and unknown risks, uncertainties, and other factors that may cause
the actual results, level of activity, performance, or achievements
of Americas to be materially different from those expressed or
implied by such forward-looking information. With respect to the
business of Americas, these risks and uncertainties include
interpretations or reinterpretations of geologic information;
unfavorable exploration results; inability to obtain permits
required for future exploration, development or production; general
economic conditions and conditions affecting the mining industry;
the uncertainty of regulatory requirements and approvals;
fluctuating mineral and commodity prices; the ability to obtain
necessary future financing on acceptable terms or at all; the
ability to develop, complete construction and operate the Relief
Canyon Mine, and risks associated with the mining industry such as
economic factors (including future commodity prices, currency
fluctuations and energy prices), ground conditions and other
factors limiting mine access, failure of plant, equipment,
processes and transportation services to operate as anticipated,
environmental risks, government regulation, actual results of
current exploration and production activities, possible variations
in ore grade or recovery rates, permitting timelines, capital and
construction expenditures, reclamation activities, labor relations,
social and political developments and other risks of the mining
industry. Although the Company has attempted to identify important
factors that could cause actual results to differ materially from
those contained in forward-looking information, there may be other
factors that cause results not to be as anticipated, estimated, or
intended. Readers are cautioned not to place undue reliance on such
information. Additional information regarding the factors that may
cause actual results to differ materially from this forward‐looking
information is available in Americas filings with the Canadian
Securities Administrators on SEDAR and with the SEC. Americas does
not undertake any obligation to update publicly or otherwise revise
any forward-looking information whether as a result of new
information, future events or other such factors which affect this
information, except as required by law. Americas does not give any
assurance (1) that Americas will achieve its expectations, or (2)
concerning the result or timing thereof. All subsequent written and
oral forward‐looking information concerning Americas are expressly
qualified in their entirety by the cautionary statements above.
Cautionary Note to U.S. Investors:
The terms "proven and probable silver reserve", "silver
resource", "measured silver resource", "indicated silver resource",
and "inferred silver resource" used in the press release are mining
terms used in accordance with Canadian National Instrument 43-101 -
Standards of Disclosure for Mineral Projects under the guidelines
set out in the Canadian Institute of Mining, Metallurgy and
Petroleum Standards. Mineral resources which are not mineral
reserves do not have demonstrated economic viability.
While the terms "mineral resource", "measured mineral resource",
"indicated mineral resource", and "inferred mineral resource" are
recognized and required by Canadian regulations, they are not
defined terms under standards in the
United States and normally are not permitted to be used in
reports and registration statements filed with the Securities &
Exchange Commission ("SEC"). Moreover, the definitions of
proven and probable reserves used in NI 43-101 differ from the
definitions in the United States
Securities and Exchange Commission's Industry Guide 7. As
such, information contained in the Company's disclosure concerning
descriptions of mineralization, reserves and resources under
Canadian standards may not be comparable to similar information
made public by U.S companies in SEC filings. With respect to
"inferred mineral resource" there is a great amount of uncertainty
as to their existence and a great uncertainty as to their economic
and legal feasibility. It cannot be assumed that all or any
part of an "inferred mineral resource" will ever be upgraded to a
higher category. Investors are cautioned not to assume that
any part or all of the mineral deposits in these categories will
ever be converted into reserves.
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SOURCE Americas Gold and Silver Corporation
